Company Profiling Food In Processing Marketing Essay

corporation Profiling Food In Processing Marketing EssayFood mold is the methods and techniques used to arise sweet ingredients into food for human consumption by food touch diligence. Food processing takes clean, slaughtered or harvested ingredients and uses them to produce commercialize placeable food harvestings.1.1 Company ProfileSunkist is alike a impregnable in the food processing industry. Fresh Sunkist chromatics from California and Arizona atomic number 18 available year-round. The natur al iodiney chromatic color is due to their gro drawg climate. Sunkist harvest take as the raw ingredients and trans ferment it to fresh harvest juice.In 1978, General Cinema Corporation, a galactic theater operator and soft drink bottler created the orangish papa we enjoy today and licensed the use of the Sunkist trademark for their delicious orange soft drink. In 1979, Sunkist keynote was launched and became the number 1 orange soda in the commercialise.Sunkist is a not-for-profit corporation, with exclusively network from the rally returned to growers. In America, Sunkist is the oldest continually operating citrus accommodatings. Sunkist is also the largest merchandise cooperative in the valet de chambre that produces take and vegetable. The Sunkist name is assurance of bountifulness quality and taste satisfaction. passel abide trusted generations of Sunkist growers to deliver the essential unslopedness of M differentwise Natures top hat citrus since 1893.Consumers know they pot depend on the quality of reaping bearing the Sunkist chump sticker or any setaged return bearing the Sunkist name. Produce buyers and retailers e realwhere know the selling value of that quality. Sunkist take c ar the quality of its production by written rules and regulations to which all Sunkist affiliated packing plant and manufacturers. Sunkist staffs need to make sure that the regulations atomic number 18 followed. E rattling day the cater inspectors go away make a visit to packinghouses. Sunkist staffs often visit the manufacturers producing Sunkist encase products and all employ standardized quality control programs.iThe price of Sunkist ar affordable to consumer, it is not too expensive. Sunkist is now produced by Dr Pepper Sn apple assort in USA. Sunkist is steady the some popular orange product in linked States.ii1.2 Vision, Mission, Slogan and GoalsVision(1) Global strategies for a stronger straw man in the international marketplace(2) Make the blade much distinctive with bountifulness quality fruitMissionTo maximizing returns for quality Sunkist growersSlogan detect All Orange Inside (2007-present)GoalsSunkists remnant is to respond not notwithstanding to the demand of their buyers for year round supplies of fruit items, particularly citrus, but also to provide a strong market and promotional good to opposite fruit manufacturing businesss who cod the equivalent quality standards maintai ned by Sunkists conventional cooperative providers.iiiStage 2- Strategic analysis2.0 InputOranges is the primary ingredients for orange juice. Fresh Sunkist oranges from California and Arizona be available year-round. Their nature orange color is due to their growing climate. The color of the orange ar neer dyed. The Sunkist label or sticker on the orange is a insure that you be buying citrus of the highest quality.2.1 ProcessAt Sunkist Growers, the process combines natural, environmentally-conscious, intuition with the pull ins of technology. Sunkist citrus is grown on all over 300,000 acres of fertile primer coat in California and Arizona.Pickers use special designed clippers for the different citrus varieties when they pick citrus. The pickers placed the fruit that they picked into a bag that hangs over their shoulder. later on that, the fruit provide be transported to the packinghouse.It is sent to the pre-category atomic number 18a once the fruit reached the pack inghouse. Before passed by dint of the initial grading station, the fruit is pre-washed. by and by the computers grade the color and blemish of the fruit, the conveyor forget carry the fruit to storage bins where the place held for packing. The fruit will be dumped out of the storage bins when it is go down for packing.The fruit is past re-washed, waxed and dried. After that the fruit is carried down the row where is it sized and stamped or stickered. The next process is the final grading beforehand packing. The fruit is sorted by grade and carried down the line for packing. They pack the fruit depending on customer need. The most common are the cartons. The fruit is either bagged by machine or by hand. The counts and weight is cadence by the bagging machines automatically. After that the bags will put into the cartons for shipment and carried to the storage battery area where they are put onto pallets. The cartons will be wraps tightly by the automatic palletizer so that they will not shift during conveyance. The pallets are transported to the pre-cooler where they are held for shipment. Once the truck arrives to transport the fruit, the truck is loaded and the fruit moves on to its final destination.ivThe main dissemination points for Sunkist are restaurants, supermarkets, and convenience stores. It is distributed in all over the knowledge domain. And also, the oranges are distributed to the manufacturer which processes the orange juice.v2.2 Steps of processing orange juice1. Clean and grade the orange. Microbes and dirt is re locomote. Orange is rinsed and dried. Quality pieces will automatically separated by size prior to extraction.2. Extraction hone the efficiency of the juice production process. Bitter resins must be conservatively separated to avoid tainting the sweeter juice. The extracted juice is filtered through a stainless still screen.3. ingress Concentrated the juice and reduces the juice temperature to about 13 C. After that, s tored in the refrigerated stainless steel bulk tanks. To achieve a high quality juice, the proper blending of juice concentrate and separate flavor fractions is necessary.4. Pasteurization To avoid spoilage. Use hot change integrity juice to preheat the incoming unpasteurized juice. Preheated juice is heated with steam or hot water to the pasteurization temperature at about 85-94 C for about 30 seconds to reduce the microbe count.5. Packaging Fill in the pasteurized juice spell still hot to ensure sterility. Must be filling in sterile environment. Fruit juice packaged in this process has a shelf flavor of 2-4months at room temperature.2.3 machinate Analysis of SunkistSWOT analysis affects to strength, weakness, opportunities and flagellums. Strengths and weaknesses refer to the organizations internal environment over which the firm has control. Strengths are areas where the organization excels in comparison with its competitors, while weaknesses are areas where the organizat ion may be at a comparative advantage. Opportunities and threats refer to the organizations external environment, over which it has much less control. SWOT may take care in both the general and the agonistical environment. However, the unpredictable nature of events in the general environment tends to make the use of SWOT analysis much problematic.viStrengthsThe Sunkist tell on is known for its high quality product and its customer service, and the Sunkist goal is to respond not only to the demands of our buyers for year round supplies of fruit items, especially citrus. Sunkist provides promotional service and also strong marketing to opposites fruit producer that entertain the same quality standards maintained by the Sunkist traditional cooperative suppliers.Sunkist is available in many flavors including orange, diet orange, lemonade straw pluck, pineapple, peach and fruit pigeon berry which appeals to the teen demographic.WeaknessConsumer lack cross out loyalty is one of the weaknesses. Maintaining consumers brand loyalty is not easy. There are a lot of separate brand that can replace Sunkist, example, Tropicana, Freshers and Nestle. Sunkist is Contending with heavy advertising by other food manufacturers.OpportunitiesThe teen demographic has been shown to be very influential when it comes to their parents acquire decision. Likewise, teens are having more than of their own discretional income, which tend to spend on food and entertainment.While Baby Boomers and Gen X-ers both have large discretionary incomes, both demographics have been largely ignored by other brands.Threats payable to diabetes and obesity, in that respect is originally a trend in the world of consumers be more health conscious. Because of this, consumers are consuming hardly a(prenominal)er sweet and colorise deglutitions.With the recent recession, it expected that sales of major brands would drop while clubby labels profit in sales.2.4 PEST AnalysisPoliticalThe pol itical factors are the arena in which organizations competitive for attention, resources, and regulations guiding the interactions among nations.viiThe effects of global act governmental policies on a firms competitive panorama outgrowth the importance of forming an effective political strategy.viiiSo, Independent growers had to be licensed to carry Sunkist Trademark.stintingThe economic environment refers to the nature and direction of the economy in which a firm deals or may compete.ixEconomy strong due to industrial job needed to fuel war. citrous fruit exports for 1966-67 seasons have reached all-time high. In order to remain competitive, manufacturers exporting abroad will need to make efficiency induces and innovate so that they can offset the un complimentary exchange rate with a reduction in price or outgrowth in quantity.xSocial/CulturalThe social / cultural factor is touch on with a societys attitudes and cultural values. Recently, many consumers are emphasis to fi tter lifestyles. Consumers from ages of 37 to 55 increasingly concerned with nutrition. There is a large nation of the age range known as the baby boomers. Since many are reaching an older age in life they are turn more concerned with increasing their longevity. This will stay put to affect the non-alcoholic beverage industry by increasing the demand overall and in the healthier beverages.TechnologicalThe technological factor holds the institutions and activities involved with creating tonic association and translating that knowledge into new outputs, products, processes, and materials.xiIntroduction of plastic bottles has increase sales for Sunkist as there are easier to carry and consumers can bin them once they are used. As the technology is getting advanced there has been introduction of new machines all the time. Due to introduction of this machineries the production of Sunkist Company has increased tremendously then it was few years ago. Executives must verify that their firm is continuously see the external environment to identify potential easements for technologies that are in current use, as well as to spot newly emerging technologies from which their firm could derive competitive advantages.xiiStage 3 dodging Formulation3.0 doorman Five ForcesThe Bargaining precedent of BuyersBuyers can affect an industry through their ability to force down prices, bargain for higher quality or more services, and to play competitors off against each other.xiiiThe main buyers of Sunkist are single consumers and restaurants. Fortunately, Wal-Mart is still a small party in that era. And also Sunkist is the major power holder. Even though, restaurants consumption increases, they are not organized, most of the purchased make by individual consumers. Sunkist has favorable condition for buyer power.The Bargaining Power of SuppliersSuppliers can exert bargaining power over participants in an industry by raising prices or reducing the quality of purchased goods and services. The factors that increase supplier power are the mirror image of those that increase buyer power.xivSunkist suppliers are mainly small producers. Sunkist is the merging power of those small producers, farmers. They have very strong relationship and each individual supplier does not have any power over Sunkist. It is favorable condition for Sunkist.Rivalry emulous rivalry intensifies when a firm is challenged by a competitors actions or when a company recognizes an opportunity to improve its market position.xvRivalry among competing firms is normally the most powerful of the five competitive forces. The food industry is becoming extremely competitive. The difference between one Food Company and another is usually not that great. As a result, food industry has become more like a commodity an area in which the food company with the low cost structure, greater efficiency and better customer service will beat out competitors. Although Sunkist is the biggest player in the market, Florida growers, global opposition and bottled orange juice producers are heating rivalry. Rivalry of Sunkist is still neutral.The threat of substituteSubstitute products are goods or services from outside a given industry that perform similar or the same functions as a product that the industry produces.There are plenty of substitutes in the food industry. Most large food companies offer similar suites of services. The threats of substitute product of Sunkist are very high. Fresh orange market has very strong substitutes, and the biggest them all is bottled lemon juice. Even, some consumers think it is easier to use bottled orange juice instead of fresh orange. Some more there are concentrate orange juices, artificial flavoring, frozen orange, already flavored products. Overall threat of substitutes is unfavorable for Sunkist.The Threat of New EntrantsThe threat of new entrants is the extent to which new competitors may decide to enter an industry and reduce the level of p rofits being earned by incumbent firms. The threat of entry will depend on the existence of barriers to entry and the reaction of existing competitors.xviSunkist has a very strong brand name in the market. Consumers relate Sunkist brand name with the quality of it. These conditions is making barrier to entry very favorable for Sunkist.However, it is still not easy to differentiate fresh lemon form each other and Sunkist has very low marketing budget to increase awareness of its product. Moreover, fresh lemon consumers are mostly clustered on the east cost of United States and Florida producer has geographical advantages in toll of transportation cost. There is not any significant cost should be incurred to enter market and that open ways for international competitors to enter in US market and if somehow new entrant fails to succeed in the market they can always sell its product to processing firms.3.1 Resources3.1.1 touchable resourcesTangible resources are the assets that can be seen and quantified. growthion equipment, manufacturing plants, and formal report structures are examples of tangible resources.xviiSunkist is one of the 10 largest marketing cooperatives in the U.S. They travelling bag sales of fresh oranges, grapefruit, lemons and limes. Sunkist manufactures 1600 citrus juice and peel products. There were 73 new Sunkist-branded products introduced in 2009 and 28 products reformulated in response to health and health trends. They have about 50,000 fuck offd staff in the operational centers, focus on customer service and daily transactions.3.1.2 Intangible resourcesIntangible resources include assets that typically are rooted deeply in the firms history and have accumulated over time. The history of Sunkist has more than degree Celsius year and they unquestionable in order to foster and maintain stable markets for fruit growers, gain best possible return for produce and provide consumers around the world with quality citrus products at affor dable prices. Sunkist develop a intercontinental market, promote a brand name, access a global transportation system, develop comprehensive investigate capabilities, and gain governmental access to abroad markets.xviii3.2 Core Competency of SunkistThe realignment of Sunkists sales operations proved its effectiveness in 2009. The new centralized sales operation customizes practices to compete better and win in todays markets.The Sunkist brand was built over generations by delivering legitimate supply and quality products. People trust Sunkist and that trust stood them in good stead during the difficult times in the world economy. As a category manager, Sunkist must have the right product, at the right price, at the right time. Today, Sunkist does. Sunkists global sourcing program allows it to manage the competition that is in the market anyway to the benefit of both its customers and growers.xixWith an aggressive marketing strategy and enchanting packaging, Sunkists organics pro gram has been steadily growing. Today three Sunkist-affiliated packinghouses are certified to pack a number of varieties of organic citrus including lemons, Navel, Valencia and Cara Cara oranges, and Satsuma and W. Murcott Mandarins. Their customers are fortunate that Sunkist has a year-round organics program and want them to increase their involvement.xx3.4 How Sunkist sustaining competitive advantagesSunkist has sustained competitive advantages in terms of Organization reputation, brand name, experience, and location. Sunkist is 100 years old company. It is well known and very strong brand name. Geographically Sunkist producers has very longer suitable climate to produce lemons.Sunkist has maverick competitive advantages for Supply chain access and money flow. They have knowledge to move fresh product from one place to another. Sunkist can establish cash flow from their member.Sunkist understands of these markets and its ability to accurately analyze them drove tax income gen eration to new heights. Sunkist analysts used that information flow to assess and create market opportunities and to be more competitive, not just in the United States, but in all its markets.xxi3.5 Define Value Chain true InfrastructureVision Mission Goal Global strategies for a stronger presence in the international marketplace.To maximizing returns for quality Sunkist growersTo provide a strong marketing and promotional service to other fruit producers clement ResourceTraining for staffRecruitmentTechnologies DevelopmentGrading engine roomSizing TechnologyPacking TechnologyLabeling TechnologyProcurementMachinery, Transportation, roundInbound LogisticsOperationsOutbound LogisticsMarketing SalesServices lift up fresh fruits from California and ArizonaClean and grade the orangeConcentrationPasteurizationPackagingFinished goods will send it to restaurant, supermarket and convenience store. publicizepublicityCustomer ServiceDiscountValue Chain refers to the process whereby a firm d etermines the costs associated with organizational activities from purchasing raw materials to manufacturing products to marketing those products.3.6 SWOT Analysis (TOW Matrix)SWOT Analysis(TOW Matrix)Strengths- S-Represent a large market of citrus growers in California and Arizona-Producing in CA gives them longer to produce because of warm weather-Provide various services (processing, marketing, research procurement) to its member growers-Strong production in recent years and belief that this would continue-Research regarding breakdown of users is very thorough.Weakness- W-Contending with heavy advertising by other food manufacturers-Concentrated predominately in womens magazines-Consumers lack Sunkist brand loyaltyOpportunities- O-Our findings tell that possible demographic.-Changes of heavy lemon users can be used as an advantage.-Increased awareness of lemons may improve usage of lemons.SO Strategies-Sunkist should increase their exporting-Increase the quality of the product to meet customer satisfactionWO Strategies Make a strong distribution system to cater to avail the full benefit of the growing market. Seek more business from other country.-Promote the product by using effective ads.Threats- T-Fresh lemon consumption in the U.S. may continue to steadily decline-Increased competition with Florida growers-Forecasted increase in production during winter months-Concerns about retailers views of fresh lemons and its prepackagingST Strategies-Advertise more products about Sunkist that are declining-Offer tax deduction on the products to attract customer to buy Use high technology machinery to increase quality.WT Strategies-Decrease the price of declining product-Enter new market to get more customers.3.7 Diagnosing Strategic Capabilities3.7.1 BCG MatrixStar(Growth) enquiry Marks(Introduction) coin Cows(Maturity)Dogs(Decline)StarsStars are characterized by high growth and high market get by. Stars is the organizations best long-run opportunities for gro wth and profitability. Sunkist orange juice is the product that gave a lot of opportunities and profit to Sunkist. Over the long run opportunities in stars will pay dividends as their large market share will enable them to provide cash as the market cows and they become cash cows.Cash CowsIn Cash Cows stage, the products have a high relative market share position but compete in a low-growth industry. It called cash cow because they generate cash in excess of their needs. apple juice is the cash cows. Sunkist has takes measure in apple juice to make the product in to stars.Question MarksQuestion marks are also known as problem child. The products at this stage have a low relative market share position, yet they compete in a high-growth industry. Sunkist cash needs are high and their cash generation is low. A high-quality grapefruit crop that moved well and commanded strong FOBs helped make 2008-09 one of the better years for grapefruit growers.DogsThe products have a low relative m arket share position and compete in a slow or no market growth industry. The dogs are lemon juice. It reduced economic activity in the foodservice industry resulted in the largest negative restaurant growth in 40 years.3.8 Product Life CycleProduct DevelopmentOrangeApple stinkerGrapefruitIntroductionGrowthMaturityDeclineProduct Life cycle has 4 stages that consist of introduction, growth, adulthood, and decline. Above is the product life cycle for Sunkist.The introduction stage of product life cycle is characterized by slow growth in sales and high costs as a result of limited production. Grapefruit is in the Introduction stage. Sunkist invests in research and development to produce new products. These command a premium price and confer upon the organisation a first mover advantage (Lieberman and Montgomery, 1988)xxii.Apple juice is in the growth stage. In this stage, sales increase rapidly as the market grows. It allows firms to reap the benefits of economies of scale. The increas e in product sales brings greater profits which in turn attracts new entrants to the market.The maturity stage of the life cycle sees a slowing in sales growth and profits as the market becomes saturated. Orange juice is in the maturity stage. In this stage, low cost competition with other brand based on efficient production and technically proficient processes becomes more important. During the maturity stage of the life cycle it is conceivable that a product may benefit from innovation or finding new consumer markets.Lemon juice is in the decline stage. In the decline stage firms experience a fall in sales and profitability. Consumer loyalty shifts to new products.xxiii3.9 Promotion toolsSunkists has been steadily growing with an aggressive marketing strategy and attractive packaging. Sunkist uses few promotion tools to promote their product and services.Traditional newspaper and magazine advertisements are supplemented with grove tours and educational seminars for the media and c hefs. Public relations campaigns such as the Worlds Largest Lemonade and the Worlds Largest Citrus Display attract wide media coverage, and targeted citrus information from Sunkist finds its way to consumer blogs and in-store promotions.Sunkists entry into the world of social networking is a cost-effective way to at present reach consumers. Sunkist is building a substantial following on chirrup and Facebook. They promote it in these two website because a lot people are playing with it recently. In addition, well over 100,000 subscribers receive our monthly online outlet highlighting information, promotions, recipes and entertaining tips.Stage 4- Strategy Implementation4.1 Sunkist international StrategyWith over 7,000 Sunkist juice and juice drink dispensers in the US and Canada, had another strong year, generating more Sunkist branding in restaurants, bars, schools, hotels and hospitals. Through Vitality, Sunkist is now one of the main beverage brands in the military.An effective international strategy begins with development a standardized product that can be produced and sold the same way in multiple countries.xxivKenichi Ohmaexxvargues that delivering value to customers worldwide is the overriding goal, while other observes stress achieving strategic flexibility.xxviSunkist managers build strong worldwide distribution system and use profits from successful products and markets to subsidize the development of other products and markets.xxviigelatine Belly successfully introduced a line of Sunkist Citrus Jelly Beans in 2009. In 2010 distribution will expand in the US and Canada. The existing line of Sunkist Fruit Gems and other products now boast a higher level of juice and new packaging. General Mills Sunkist Straw- berry Fruit Snacks became the third most popular product in the fruit snack category. Maverick Brands (Sunkist Natural juice and smoothies) and Old World Industries (Sunkist jarred fruit) enjoyed increased distribution and growth. Sales by a n ew licensee, Taylor Farms, formerly Sunkist Taylor, LLC (Sunkist packaged cut fruit), grew strongly in both retail outlets and schools.Sales of Sunkist-branded beverages in Asia continued to strengthen. Morinaga Milk (Japan) and Haitai Beverages (Korea) led the way in innovation with a host of new products and flavors. Country House (Taiwan), traditionally a foodservice licensee, moved into retail with a line of new, high-quality juice drinks and Fraser Neave (Singapore and Malaysia) continued their strong performance with Sunkist juice. RFM (the Philippines) successfully introduced newly packaged juice drinks and a new line of Sunkist fruit-flavored teas. The new line of Sunkist Premium 100% juice from A.S. Watson (Hong Kong and China) enjoyed good sales. Business in Europe and the Middle East, while currently small, is growing.Sunkist diversifies into foreign markets because it can generate sales profit opportunities that cannot be matched at home country. Internalization can als o extend the marketable life of products or services that have reached their maturity in the home country. Sunkist has an extremely well-balanced export and domesticated marketing program. They have a very strong sales and marketing team of seasoned veterans. They have excellent partnerships with ke